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How do I determine ROI on Video Conferencing?
October 29, 2008 @ 11:45 AM | By Brian Trampler & Sara O'Rourke

Oct28videoconferencingrWhen your company is thinking about purchasing video conferencing equipment and services, you may have a hard time justifying the cost associated with this kind of investment. There are a few things you need to look at when determining your return on investment for this product.  Cutting down on travel expenses, reducing your carbon footprint and enhancing the effectiveness of communication are some of the factors to think about.

We all know that the corporate world spends a lot of time and money on a daily, weekly and monthly basis traveling across the country and the world.  What are your reasons for traveling? Most companies feel that the face-to-face communication is more important and effective to build relationships.  With that said, conducting a video conference is an easy and cost effective way to have that meeting without spending the money on air, hotel, food etc. If you take a look at how much your company spends on a yearly basis in travel, you can get a better idea of the ROI in purchasing your own equipment. With video conferencing technology today, you can have that face to face meeting and share documents with other participants as if they were in the same room. You may not use video conferencing for every meeting, but there are a number of ways you can see a return on your video conferencing investment.

Let’s use InterCall as an example. InterCall just acquired Genesys, who is another conferencing company headquarted in France. In order to build the relationship and discuss the acquisition it’s important for our executives like Bob Wise, EVP of Marketing and Business Development, to have face to face meetings with Genesys. It can cost InterCall thousands of dollars in airfare, hotel, and car rentals for Bob to travel to France.  Bob may only need to meet with Genesys for a couple hours a day, but he has to spend a week at a time traveling. Instead, Bob chooses to video conference with Genesys.

Some things to consider when calculating your travel expenses:

1. Number of attendees traveling via airplane
2. Number of nights in a hotel
3. Rental Car(s)

Conference Details:

1. How long would your meeting last?
2. How many participants?

To calculate your savings check out our travel calculator.

Video conferencing hardware  can vary from $150 to $20,000 depending on the conference room requirements you have. If you setup 5 video locations at $50,000 total, you could gain your investment back in less than a year (depending on how much you spend in travel).

InterCall can help you figure out what type of equipment and services will best fit your needs and budget. For example, if you are new to video conferencing and not sure if you want to make the investment, InterCall has 10,000 public rooms available globally to rent out on a per hour basis. The rooms are all equipped with video equipment and will help you decide how effectively you can communicate with traveling no more than a few miles from your office or home. 

If you decide to purchase your own hardware, InterCall will make sure that your employees are using the equipment to the fullest capacity. As we roll-out your company with video endpoints and services, we will make sure the experience is easy and effective for every meeting. We have everything from training classes, web scheduling and branded reservation material to help facilitate the proper use of video conferencing.  Internally you can set a policy that states employees must check their video conference room availability before booking travel.

Think about it, would you rather spend 3 days traveling across the country for a 1 hour meeting or be home in time for dinner with your kids?  If you have questions or comments about your video conferencing ROI, please comment below!

Sara_2 Sara O'Rourke is the Associate Product Manager for Strategic Video Solutions and will be a contributor to "Video News". She has been with Intercall for over 4 years and has specialized in the video product for the majority of those years, starting in sales. She is not only an accomplished professional of the video industry, but a fine singer as well.

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Maribeth Langford

With the sophisticated advances in video conferencing in the past 10 years and InterCall's global public room offering, more companies are realizing the value of video conferencing. And when your company is ready to invest in video conferencing equipment, there's such a wide variety of video conferencing hardware that you can equip just your desktop or your convert your boardroom in to the ideal video conferencing venue. InterCall's experienced video conferencing professionals are a great resource when getting started, assisting with technical issues and equipment knowledge and always with the 'white glove' customer service that you've come to expect from InterCall.

Net meeting

Video conferencing is an advantage especially in business industry because less effort and time in conducting a meeting.

Video Conferencing Setup

Initially the concept of video conferencing was new to me but due to the change in technologies I felt that work and the performance of business can be effectively be increased positively due to the investment I made in more than one telepresence room. However, many telepresence solutions are now standards based, so they are compatible with other desktop.


The idea which I got from a conference room environment that delivered an experience which is so true to life an executive could use the solution instead of spending time and money traveling to meetings. The investment which I made on time the returns of the company justify the expense. The profits margin has increased tremendously.

Video and Teleconferencing Products Rental

Video conferencing will not only save you from the big expense of traveling, but it also give you significant time spending your days to other important activities at hand.

fiber optic camera

For determining the ROI for video conferencing, we need to setup financial ROI determinants as well as KPI for performance metrics.

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